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Cases & Investigations
Princeton Economics Group, Inc. v. American Telephone & Telegraph Company Consumer Litigation

Type: Notable Cases

Case Number: L-3221-91

Court: New Jersey Superior Court, Mercer County

Settlement Amount: $90,000,000

This case arose because AT&T advertised a particular telephone system as an excellent choice for small businesses due to its "conference call" features, but the phone system did not work well for this purpose because the conference feature did not adequately amplify the sound. This case resulted in a settlement to the class valued at approximately $90 million, which, at the time, was the largest settlement of a consumer action in the New Jersey state courts.
 
At the conclusion of the case, the Court noted the complexity and difficulty of the issues involved and favorably commented that, “[i]f not for the skill and experience of class counsel, a settlement may not have been reached or, if it had been reached, may have resulted in a significantly diminished recovery for the class.”

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